"The need for splitting signals in optical networks is as critical as it is in copper networks. However, the problem of signal loss in optics continues to be a major difficulty - this is especially true in the Metro/Access marketplace. The incorporationof a waveguide amplifier with a modest optical fain at the input to a waveguide splitter offers one of the best solutions. Development and integration of these devices into a small, low-power optical module will be the outcome of this work. The IFOSinnovation is the realization of lossless splitters seamlessly incorporating amplifiers with a modest fain. In this regime, the pump power requirement as well as the signal-to-noise-ratio degradation are very low. The IFOS design involves optimum balancebetween gain and nose figure and their dependencies on the waveguide parameters. In Phase I IFOS designed, successfully fabricated, and characterized unique proof-of-principle optical amplifiers - including demonstration of sol-gel based Er+ dopeddevices. Phase II will focus on the fabrication of commercially-viable packaged lossless splitters. Concentrator will be on low-cost manufacturability, test and evaluation of performance characteristics, reliability, and preparation of the technology forcommercialization through strategic partners."